Bankruptcy filings rising across the country and it could get worse -New York Post
"Bankruptcies are back - flashing warnings that more Americans are knee-deep in debt in big cities like New York....New York state's bankruptcy filings, for instance, have risen steadily the past three years, hitting 34,711 in 2018, up from 30,112 in 2016, according to the American Bankruptcy Institute (ABI), based on data from Epiq Systems. More consumers nationwide are falling behind on their payments and filing for bankruptcy to resolve overwhelming debt loads.
And low unemployment, an uptick in average wages and the latest Fed interest rate cut have not restrained the debt monster. Some cash-strapped consumers are even finding relief at food pantries....And unmanageable debt is also forcing more companies to file for bankruptcy, triggering a wave of job cuts - with nearly 43,000 job losses announced in the first seven months of this year, according to a new report by Challenger, Gray & Christmas. It's almost 20 percent more than all bankruptcy-linked job cuts in 2018. In the latest example, last week Barneys New York said it had filed for Chapter 11 bankruptcy protection. Meanwhile, record American household debt, near $14 trillion including mortgages and student loans, is some $1 trillion higher than during the Great Recession of 2008. Credit card debt of $1 trillion also exceeds the 2008 peak. Americans are spending heavily, again - and often recklessly, say analysts. 'No question about the fact that credit quality is declining,' said Dick Bove, a financial strategist at Odeon Capital Group in New York."